The currency pair tested 1.2218 last week. Eurozone’s PMIs data was better than expected in general and supported the currency pair. USD remained under pressure last week.

We expect EUR/USD to retest 1.2218 this week. If the currency pair breaks this level out, we expect it to target 1.2397. If there is no 1.2218 retesting, the currency pair is likely to start a correction to the local trend from March 2021.